Can Paulson Muster the Support
To Push His Plan Through?

By

Michael Connolly

Updated March 31, 2008 12:01 am ET

Two big shifts underlie U.S. Treasury Secretary Henry Paulson's blueprint for sweeping changes in how the U.S. government monitors financial markets to be unveiled Monday: The Federal Reserve could emerge with significantly enhanced powers to oversee financial markets, and the plan represents a big land grab by federal regulators at the expense of their counterparts at the state level, especially in the insurance industry.

As Randall Smith, Susanne Craig and Robin Sidel report, critics have long complained that the existing...